GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Eiken Industries Co Ltd (TSE:7265) » Definitions » Net-Net Working Capital

Eiken Industries Co (TSE:7265) Net-Net Working Capital : 円1,189.36 (As of Jan. 2024)


View and export this data going back to 1997. Start your Free Trial

What is Eiken Industries Co Net-Net Working Capital?

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full. In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. This is a conservative way of estimating the company's value.

Eiken Industries Co's Net-Net Working Capital for the quarter that ended in Jan. 2024 was 円1,189.36.

The industry rank for Eiken Industries Co's Net-Net Working Capital or its related term are showing as below:

TSE:7265's Price-to-Net-Net-Working-Capital is ranked better than
83.51% of 1328 companies
in the Industrial Products industry
Industry Median: 6.93 vs TSE:7265: 2.76

Eiken Industries Co Net-Net Working Capital Historical Data

The historical data trend for Eiken Industries Co's Net-Net Working Capital can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Eiken Industries Co Net-Net Working Capital Chart

Eiken Industries Co Annual Data
Trend Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23
Net-Net Working Capital
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1,088.14 1,242.21 1,217.53 1,454.20 1,417.88

Eiken Industries Co Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Net-Net Working Capital Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1,264.10 1,131.13 1,305.82 1,417.88 1,189.36

Competitive Comparison of Eiken Industries Co's Net-Net Working Capital

For the Pollution & Treatment Controls subindustry, Eiken Industries Co's Price-to-Net-Net-Working-Capital, along with its competitors' market caps and Price-to-Net-Net-Working-Capital data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Eiken Industries Co's Price-to-Net-Net-Working-Capital Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Eiken Industries Co's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Eiken Industries Co's Price-to-Net-Net-Working-Capital falls into.



Eiken Industries Co Net-Net Working Capital Calculation

Eiken Industries Co's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Oct. 2023 is calculated as

Net-Net Working Capital(A: Oct. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(1430.354+0.75 * 1128.669+0.5 * 1094.23-1386.606
-0-0)/1.01374
=1,417.88

Eiken Industries Co's Net-Net Working Capital (NNWC) per share for the quarter that ended in Jan. 2024 is calculated as

Net-Net Working Capital(Q: Jan. 2024 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(1360.942+0.75 * 1062.705+0.5 * 1160.13-1532.329
-0-0)/1.01374
=1,189.36

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full.

In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. In "Security Analysis", preferred stock is dubbed "an imperfect creditorship position" that is best placed on the balance sheet alongside funded debt.

This is a conservative way of estimating the company's value.


Eiken Industries Co  (TSE:7265) Net-Net Working Capital Explanation

One research study, covering the years 1970 through 1983 showed that portfolios picked at the beginning of each year, and held for one year, returned 29.4 percent, on average, over the 13-year period, compared to 11.5 percent for the S&P 500 Index. Other studies of Graham's strategy produced similar results.

Benjamin Graham looked for companies whose market values were less than two-thirds of their net-net value. They are collected under our Net-Net screener.


Eiken Industries Co Net-Net Working Capital Related Terms

Thank you for viewing the detailed overview of Eiken Industries Co's Net-Net Working Capital provided by GuruFocus.com. Please click on the following links to see related term pages.


Eiken Industries Co (TSE:7265) Business Description

Traded in Other Exchanges
N/A
Address
1370 Kadoya, Omaezaki-shi, Shizuoka, JPN, 437-1698
Eiken Industries Co Ltd is a Japan based company filtration equipment manufacturer. It is engaged in manufacturing filers for internal combustion engines and special filters for industrial use. The products offered by the company include oil filter, air filter, fuel filter, cabin filter and burners.

Eiken Industries Co (TSE:7265) Headlines

No Headlines